Snapchat Group disappoints investors - share price collapses
The photo app Snapchat brought in significantly less advertising revenue at the end of the year than had been expected. In the three months to the end of December, parent company Snap's revenue grew 44 percent year-on-year to $561 million.
This was announced by the company on Tuesday after the close of the US stock exchange. However, Wall Street had expected significantly more at 563 million dollars.
Investors reacted with disappointment - the shares slumped at times by around twelve percent after trading hours. Snap's loss widened from 191.7 million to 240.7 million dollars. At least Snapchat was able to increase the number of daily active users by four percent compared to the previous quarter to 218 million. In the same period of the previous year, the figure was 186 million.
In the competition for advertising revenue on the Internet, the Group faces tough competition from top dogs Google and Facebook. (SDA)
